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Accounting Terms
Line Item
Definition
An individual entry on an invoice representing a specific product, service, or charge.
Overview
Line items itemize what's being billed, including descriptions, quantities, unit prices, and totals. They provide transparency and help clients understand charges.
Example
An invoice with three line items: Website Design ($2,000), Logo Design ($500), Content Writing ($300).
Best Practices
Use clear descriptions, include quantities and unit prices, and ensure math is correct.
Common Mistakes to Avoid
Vague descriptions
Math errors
Missing quantities
Frequently Asked Questions
How detailed should line items be?
Detailed enough for clients to understand what they're paying for.